Q1 2025: Token Issuance Dominates Crypto Discussions

Token Generation Events (TGEs) have taken center stage in the crypto space: Following the TGE announcements from Berachain, Story, Solayer, and MyShell, other prominent projects such as Initia and Lens have hinted at their upcoming mainnet launches and token events on social media.

While the community eagerly discusses the wealth opportunities hidden in these events, another project is drawing significant attention with its major token update:

According to its official announcement, the decentralized AI project Pundi AI will undergo a brand transformation and token upgrade on February 25, 2025. The ecosystem token $FX will be officially upgraded to $PUNDIAI at a 100:1 ratio.

For astute investors, this milestone event presents a massive opportunity akin to discovering a new token. Beyond the token upgrade, Pundi AI is also set to launch its AI MM Agent, a Virtual-like product that will further complete its vision of delivering full-cycle AI development services. This will elevate community expectations for its future development.

With the token swap approaching, why should we pay attention to this upgrade? How will Pundi AI’s upcoming AI MM Agent introduce new and exciting gameplay to the AI Agent narrative?

From data and AI Agent issuance to liquidity optimization, how is Pundi AI building a robust product matrix to support its vision?

This article aims to explore these questions in depth.

The Token Upgrade: Is Pundi AI the Next 100x Opportunity in 2025?

What does the token upgrade entail?

The upgrade is scheduled for February 25, when $FX tokens will be converted to $PUNDIAI at a 100:1 ratio.

Pundi AI is committed to ensuring a seamless and hassle-free upgrade experience for holders:

For Pundi AIFX Omnilayer (formerly F(x) Core) users, $FX tokens will be automatically upgraded to $PUNDIAI without any additional actions required. Staked tokens will continue earning rewards post-upgrade.

For Base and Ethereum network users, manual intervention will be required to swap tokens via a designated webpage. Alternatively, they can bridge their tokens back to Pundi AIFX Omnilayer for automatic conversion.

For exchange users, the upgrade has received support from major exchanges including Upbit, Coinbase, Bithumb, KuCoin, Gate.io, and CoinEX, ensuring an automatic transition from $FX to $PUNDIAI. Upbit has already announced a temporary suspension of Function X ($FX) deposits, withdrawals, and trading to facilitate the upgrade, while other exchanges will announce their schedules accordingly.

Beyond the mechanics of the upgrade, a crucial question arises: why should we pay attention to this event?

A fundamental reason is the deflationary effect:

$FX will be upgraded to $PUNDIAI at a 100:1 ratio, effectively reducing the token supply by 100x. According to the basic principles of supply and demand, a decrease in supply often leads to an increase in value. This 100x reduction creates significant potential for price appreciation.

Historical precedent supports this:

In April 2021, Pundi conducted a similar token upgrade for its PayFi product line, converting 1,000 NPXS to 1 PUNDIX. This move resulted in a 100x performance boost. The community is now eagerly anticipating whether the $FX to $PUNDIAI upgrade will yield similar gains.

More importantly, in the current AI-driven crypto landscape, $PUNDIAI’s launch as a rebranded token could create new narratives and price momentum, presenting early investors with fresh AI-related investment opportunities. Additionally, among AI-focused projects listed on Upbit and Coinbase, $PUNDIAI stands out as one of the smallest in market capitalization, offering significant growth potential compared to its peers.

Of course, as the token upgrade approaches, the bullish sentiment around $PUNDIAI is not just driven by market trends but also by the project’s strong fundamentals.

Notably, in a cycle where most VC-backed tokens have underperformed, $PUNDIAI has never received external funding and has no plans for future fundraising. Instead, it aims to build a fully decentralized AI community driven purely by its users.

Under these circumstances, unlike many VC-backed tokens that face massive unlocks in the future, $PUNDIAI is already fully unlocked. This means that its FDV (Fully Diluted Valuation) reflects its actual circulating market cap—further alleviating concerns within the community.

On the other hand, product adoption is the primary driver of sustainable growth. With multiple core products set to launch throughout 2025, not only does this upgrade continue to draw industry attention, but it also fuels greater expectations for Pundi AI’s performance in the year ahead.

Focusing on critical Liquidity – Pundi AI MM Agent Is About to Launch

From its initial vision of becoming “the world’s largest decentralized AI data layer” to its current ambition of “building AI services that span the entire lifecycle of AI development,” Pundi AI has steadily laid the groundwork for years. Now, its AI product ecosystem is becoming increasingly clear:

AI Data Layer:

• Pundi AI Data Platform
• PURSE+ Browser Extension
• Pundi AI Data Marketplace

AI Agent Issuance Layer:

• Pundi Fun AI Agent Launcher

AI Agent Liquidity Layer:

• Pundi AI 2000 Agent

Underlying Infrastructure Support:

• AIFX Omnilayer Pound

We all know that data is the fuel for AI development. Pundi AI’s initial product design heavily revolved around data, aiming to establish a decentralized AI data layer that ensures fair participation and equitable rewards, covering data acquisition, labeling, and transactions.

For data acquisition, Pundi AI aggregates diverse data sources from both Web2 and Web3. Users can contribute data by uploading it to the Pundi AI Data Platform. Additionally, Pundi AI has launched the PURSE+ browser extension, allowing users to complete tasks such as labeling content from Web2 social media platforms like X (Twitter) to contribute valuable data.

For data processing, Pundi AI is building a decentralized crowdsourced data labeling marketplace. AI projects in need of data can create data requests through the Pundi AI Data Platform. Users can participate in data labeling and earn rewards through a token incentive mechanism, encouraging broader participation.

For data transactions, Pundi AI advocates the concept that “labeled data = intellectual property.” In this model, data is treated as an asset. Users can list their data on the Pundi AI Data Marketplace, where buyers can efficiently search for and purchase data based on specific categories. Furthermore, data contributors are entitled to earnings from known revenue streams, future profits, and dividend distributions generated throughout the lifecycle of the data’s circulation, trading, and usage.

A few months ago, with Pundi X launching its new brand, Pundi AI, and accelerating its expansion into the DeAI sector, we wrote an in-depth article detailing Pundi AI’s transformation and product development, covering the Pundi AI Data Platform, PURSE+ browser extension, Pundi AI Data Marketplace, and AIFX Omnilayer. We won’t reiterate those details here, but interested readers can check out the article below for a deeper dive:

Tokenizing AI Data Assets and Driving the Next Big Pump – What’s Behind Pundi X’s Foray into DeAI?

What’s Next After Solving the AI Data Layer?

With the rapid development of AI Agent, AI Agent has become the focus of attention, and its issuance and liquidity have become the key to the competition of encrypted AI. Pundi AI is about to officially launch the Pundi Fun AI Agent Launcher and Pundi AI MM Agent, which will become the focus of our discussion next.

As the name suggests, Pundi Fun AI Agent Launcher focuses on the AI ​​Agent distribution layer.

If you are familiar with Virtuals, the gameplay of Pundi Fun AI Agent Launcher will be familiar to you.

Through Pundi Fun AI Agent Launcher, you can efficiently create your own personalized AI Agent in a few minutes. Everything in the product is designed to bring a simple, intuitive, and seamless experience.

At the same time, whenever an AI Agent is created, its corresponding AI Agent DAO token will also be launched simultaneously. The DAO token represents the holder’s rights and interests in the AI ​​Agent, and 100% of the tokens are placed in the pool. When the FDV of the DAO token exceeds $65,000, liquidity will be injected into public markets such as Aerodrome.

At this point, all the gameplay seems to be no different from the well-known Virtuals. How will Pundi AI give its products differentiated competitiveness?

On the one hand, in conjunction with the previously built data segment products, you can pay a fee to purchase high-quality data on the Pundi AI data platform to train your AI Agent to make it smarter and enhance its service capabilities.

On the other hand, AI Agent asset issuance is essentially a competition for on-chain liquidity, and those who gain liquidity win the market. Therefore, market making aimed at ensuring sufficient liquidity and depth in the market is inevitable.

In the context of decentralized AI, the centralization issue of traditional market-making cannot be ignored. Although AMM performed amazingly during the DeFi Summer cycle, we have to admit that the current AMM mechanism faces problems such as low capital efficiency, out-of-range LP positions, difficulties in cross-exchange or cross-chain arbitrage, and rebalancing.

Pundi AI MM Agent is specifically designed to optimize AI Agent liquidity. It aims to combine the flexibility of traditional market making with the accessibility advantages of AMM to optimize capital efficiency and become a machine that maximizes profits with functions such as dynamic liquidity allocation, adaptive rebalancing, and MEV capture.

Specifically:

The Pundi AI Foundation will provide funding for the AI Agent by purchasing AI Agent DAO tokens and injecting liquidity into AI Agent in the form of AI Agent tokens/$PUNDIAI.

At the same time, Pundi AI MM Agent will continuously scan the market and adjust parameters at any time based on performance to maintain efficient liquidity and better seize market opportunities.

As a result, compared with other AI Agents, with the help of Pundi AI MM Agent, the AI ​​Agent project issued by Pundi Fun AI Agent Launcher has outstanding liquidity advantages, laying a solid foundation for the long-term healthy development of the project and the protection of the interests of holders.

However, some details remain unclear, such as:

Faced with so many AI Agents, who will the Pundi AI Foundation choose to fund?

Where does the Pundi AI Foundation’s funding come from?

Since liquidity is injected in the form of AI Agent tokens/$PUNDIAI, how do we empower $PUNDIAI holders under this mechanism?

It all starts with $PUNDIAI’s exquisite economic model design.

Under the ve model’s dual-token design, $PUNDIAI plays a crucial role

When it comes to tokenomics—a fundamental aspect of a project’s long-term growth—Pundi AI adopts a ve-model structure.

In simple terms, Pundi AI features a dual-token system:

• $PUNDIAI: The utility token of the Pundi AI ecosystem, extensively used across various Pundi AI products, including Pundi AI Data, the Pundi AI Data Marketplace, Pundi AIFX Omni Layer, and Pundi Fun AI Agent Launcher. Contributors can earn $PUNDIAI rewards and use them to pay for services.
• $vePUNDIAI: The governance token of the Pundi AI ecosystem. By locking $PUNDIAI, holders receive $vePUNDIAI, allowing them to participate in the liquidity governance of Pundi AI MM Agent. The longer the lock-up period, the higher the voting weight, aligning incentives toward long-term value creation.

After understanding the respective functions of the dual tokens, let’s answer the specific operational issues under the innovative mechanism of Pundi AI MM Agent one by one.

First, how does the Pundi AI Foundation choose which AI Agent to support?

It’s very simple: complete the liquidity management of AI MM Agent through $vePUNDIAI.

On a weekly basis, $vePUNDIAI holders can vote for their favorite AI Agent. Based on the voting results, the Pundi AI Foundation will inject liquidity into the open market for the AI ​​Agent.

So, what is the incentive for $vePUNDIAI holders to participate in voting?

In addition to maintaining the stable development of the ecosystem, $vePUNDIAI will also gain considerable benefits.

On the one hand, AI Agent creators must pay a fee to request that their token (or pool) be whitelisted for liquidity incentives, and 10% of this fee will be returned to $vePUNDIAI holders through the protocol pool.

On the other hand, in order to attract $vePUNDIAI holders to vote, the AI ​​Agent needs to rack its brains. On the one hand, it needs to improve its own strength, and on the other hand, it also needs to transfer part of its income to voters. The more generous rewards voters can receive, the stronger their willingness to vote.

Most importantly, where does the Pundi AI Foundation’s funding come from?

Pundi AI has designed a Pundi AI protocol pool.

According to Pundi AI’s official Gitbook, 10% of the revenue generated through data purchases in the Pundi AI data platform and 10% of the transaction volume in the Pundi AI data trading market will enter the protocol pool.

In addition, in the Pundi Fun AI Agent Launcher section: 10% of the share of the AI ​​Agent used to “bribe” $vePUNDIAI currency holders to increase the support rate will enter the protocol pool; 1% of the transaction fees will enter the protocol pool; at the same time, the foundation will earn ongoing fees from the LP transactions of AI Agent tokens/$PUNDIAI and enter the protocol pool, etc.

Multiple benefits from the ecosystem are accumulated in the Pundi AI protocol pool, and the ecosystem is empowered through the foundation. This also answers the question of “how to deeply bind the development of AI Agents to $PUNDIAI holders.” The voting mechanism for liquidity distribution allows AI Agents to passively participate in “bribery” to form a healthy competition. It also encourages extensive governance participation, increases the governance benefits of currency holders, and forms a positive flywheel for the Pundi AI ecosystem.

Multiple Core Products Incoming—2025 Could Be the Pivotal Year for Pundi AI’s Vision

2025 might very well be the defining year for Pundi AI’s vision to materialize.

For a project on the verge of multiple key milestones, this statement is far from an exaggeration.

On February 25, 2025, the long-awaited token upgrade from $FX to $PUNDIAI officially kicks off. With a 100x deflationary model, the potential wealth creation is set to draw significant attention to Pundi AI.

To seize this crucial moment, Pundi AI has lined up several ecosystem products. They are ready to be launched.

According to the official roadmap, in the first two quarters of 2025, Pundi AI will roll out multiple product releases: Whitelist Beta for the Pundi AI Data Labeling Platform; Alpha version of the Pundi AI Marketplace; Official launch of Pundi Fun AI Agent Launcher and Pundi AI MM Agent. Data labeling tools are also launched as both a browser extension and a mobile app, making participation more seamless than ever.

Beyond product launches, Pundi AI has also designed interactive and rewarding mechanisms to enhance user engagement:

The Tag-to-Earn Model will be introduced to enable users to earn rewards by actively participating in the ecosystem

The Referral Program will be added to attract new users and drive organic growth

A staking pool will be listed on the AI Marketplace.

From data acquisition, labeling, and trading to AI Agent training, issuance, and liquidity support, every step in Pundi AI’s roadmap reflects its deep understanding and forward-thinking approach to decentralized AI ecosystems.

Positioned at the intersection of AI and blockchain, Pundi AI is striving to deliver on its vision of providing end-to-end services throughout AI’s lifecycle. With a series of core product releases and critical functionalities on the horizon, can Pundi AI establish itself as a major player in decentralized AI by 2025? Will it create long-term value for the market, investors, and participants alike?

With the February 25 brand transformation and token upgrade as the starting point, we look forward to witnessing the journey unfold—together with the community.

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